Oak Row Equities To Pay Record $520M For Miami Waterfront Property
Oak Row Equities is about to pay $520M for a waterfront land assemblage in Miami's Brickell neighborhood, the highest price ever paid for land in the city.
Oak Row is under contract to buy 4.25 acres at 1001 and 1111 Brickell Bay Drive, according to a U.S. Securities and Exchange Commission filing by the seller, Apartment Investment & Management Co.
The sale, set to close in March, will land Aimco between $300M and $320M in net proceeds depending on whether Oak Row opts to use $115M in seller financing that would give it an 18-month note at 12%.
Oak Row already deposited $38M and completed due diligence. A firm called Mariposa Real Estate is also partnering in the purchase, Bloomberg reported.
The deal will set a new sales record for Miami following the Brickell neighborhood's boom. The price tops the $363M paid by Citadel CEO Ken Griffin for a 4-acre Miami site in 2022, according to Bloomberg.
Aimco itself paid a record price for the property in 2019, dropping $157M for the 32-story office tower at 1001 Brickell Bay Drive, according to Law.com.
Oak Row co-founder Erik Rutter told Bloomberg in a statement the Brickell site “presents a once-in-a-lifetime opportunity to build a transformative project. A perfect blend of zoning, site geometry, bay frontage and location combine to create a truly irreplaceable piece of real estate.”
The developers told Bloomberg they plan to erect luxury condominiums on the parcel that is also currently home to apartments. The site has more than 480 feet of Biscayne Bay frontage and is zoned for several tall towers, Rutter told Bloomberg.
The move comes two months after Denver-based Aimco agreed to sell The Hamilton, a 276-unit apartment building in Miami, to the Kushner Cos. for $190M and its interest in a 2.8-acre development site at 3333 Biscayne Blvd. in the Edgewater neighborhood to its joint venture partner for $13.8M.
Oak Row has beefed up its Miami-area holdings. With more than $1.6B in South Florida development, the company paid $38.5M in June for a parcel at 49 NW Fifth St. — across from the MiamiCentral Brightline station — to develop a 500-unit transit-oriented development dubbed First & Fifth.
The firm also topped off the 509-unit Wynwood Plaza apartment building in February with its partner, New York-based L&L Holding Co.
Oak Row broke ground in late April on a 41-story office and apartment tower in Edgewater after locking in a $181M construction loan from Bank OZK. The developer also has plans for a second Edgewater apartment tower called 2900 Terrace with Miami-based Lndmrk Development.
